Finance Your Tesla Model Y
Tesla have revealed insane interest rates in the United States, and this might spur a lot of people who are on the edge of buying an EV.
Tesla have launched their latest buying incentive for not the Model 3.
Must be plenty of demand for the Model 3, considering Tesla have raised prices on the Model 3 recently.
Model Y
the Model Y, there is a special super low interest rate for those who purchase the SUV by the end of the month.
You’ve got a couple of weeks to take advantage of this offer if you want to.
By the way, I do think Tesla have the the best version of the Model Y that they’ve ever had for sale in China.
There are actually Chinese versions that are slightly upgraded versus American versions.
Regional Variations in Model Y Offerings
But all that aside, in the US, you can get the rear wheel drive long-range Model Y. That’s the longest-range Model Y that has ever existed.
It’s only US$45,000. It does qualify for tax incentives, seven and a half thousand dollar incentives, which, by the way, if you’re thinking you don’t qualify for those, you actually might because the cap has been raised on the income thresholds.
I think it’s raised now to, it might be 150, it might even be 200. Anyway, it’s been raised, so make sure you check that out if you’re going to buy an EV.
Tesla’s Financing Promotion
Tesla have launched a promotional finance offer on its website for the Model Y, offering 0.99% APR interest rate for buyers who finance the vehicle on an order before the 31st of May.
This promotional financing can be used on loan terms ranging from 36 to 72 months. So, three year loans up to six year loans, between three to six years.
So my personal recommendation is, if you can avoid getting a car loan for six years. If you can, get it for three years and that might spur you to pay it off, save more money, pay it off faster.
That’s what I think but at the same time, six years could actually make more logical sense.
I mean, generally, the emotional thing is what I just said, that’s what I think most people think.
Impact of Interest Rates on Auto Sales
But if you’re paying 1% interest, 0.99% interest, then it’s free money because inflation is at about 3% to 4% at the moment.
So this is a lot less than the cost of inflation. The recently launched base-level Model Y long-range all-wheel drive is 44,990.
The long-range all-wheel drive, $47,990. So $3,000 more to get an extra motor and the performance model is $51,500 US.
The performance model is actually a pretty good deal as well. High interest rates have been a big issue in the automotive industry.
Sales have potentially gone down a bit as a result of high interest rates. It definitely does affect consumer confidence.
It affects people’s ability to pay their home loans. Then they have less discretionary income to spend on things like cars.
In February, Tesla began offering promotional prices on the Model Y with a $1,000 discount, and that deal ended in March.
Outlook for Model Y Sales
But Tesla have also just revealed that price for the Model Y long-range Reel drive.That hasn’t existed until a couple of weeks ago.
And that replaces the old Model Y standard range. It’s got a lot more range it’s got 60 miles more range and faster charging and it costs, I believe, $1,000 or $2,000 more depending on the month of the year.
So $1,000 or $2,000 more for extra range and faster charging I think it’s a no-brainer. It’s definitely worth looking at.
Model Y best selling car
Last year, the Tesla Model Y was the best selling car in the world.
It’s not on track to be the best selling car in the world this year, but there is a juniper version, a new version coming out.
Third quarter of the year, I’ve been hearing, could be the fourth quarter. That’ll help boost sales for the Model Y.
it’s worth looking at this price with 0.99% interest.
Investment Opportunity vs. Cash Purchase
If you had the cash to go buy the Model Y, would it be sensible to not pay with cash and instead get the 0.99% interest and invest your cash? Just invest let’s say you went for the standard range model for $45,000.
Would it be more sensible to go and invest that in stocks for three years? You should be able to get a better return than 0.99%.
Even though it’s like people feel emotionally like, I want to buy the car outright. That’s what I feel like it’s actually more logical not to do so weird.